The President has made clear repeatedly that his Administration is
committed to strong, effective cooperation with Russia and the other
states of the Former Soviet Union to reduce weapons of mass destruction
and prevent their proliferation. To ensure that the promise
of those programs is fully realized, the Administration has undertaken,
in consultation with the Congress, a detailed review of U.S.
nonproliferation and threat reduction assistance to the Russian
Federation.

The review examined over 30 different programs, with a combined
budget in Fiscal Year 2001 of approximately $750
million. The aims of the review were threefold:

To ensure that existing U.S. cooperative
nonproliferation programs with Russia are focused on priority threat
reduction and nonproliferation goals, and are conducted as efficiently
and effectively as possible.

To examine what
new initiatives might be undertaken to further our threat reduction and
nonproliferation goals.

To consider
organizational and procedural changes designed to ensure a consistent,
coordinated U.S. government approach to cooperative programs with the
Former Soviet Union on the reduction of weapons of mass destruction and
prevention of their proliferation. The review is now
complete. It found that most U.S. programs to assist Russia
in threat reduction and nonproliferation work well, are focused on
priority tasks, and are well managed.

The review further identified four programs for expansion:

The Department of Energy Material
Protection, Control and Accounting (MPC&A) program to help Russia
secure and consolidate weapons-grade nuclear material;

The Department of Energy Warhead and
Fissile Material Transparency program;

The International Science and Technology
Center (ISTC); and

The Redirection of Biotechnical Scientists
program.

The Department of Defense will seek to accelerate the Cooperative
Threat Reduction project to construct a chemical weapons destruction
facility at Shchuch'ye (Russia), to enable its earlier completion at no
increased expense. We welcome the contributions that friends
and allies have made to this project thus far, and will work for their
enhancement.

As a result of the review, other programs are being adjusted,
refocused or reexamined:

The Department of State and Department of
Energy are examining alternative approaches to the current Plutonium
Disposition program in Russia, with the aim of making the program less
costly and more effective. The Administration remains committed to the
agreement with Russia to dispose of excess plutonium.

The project to end Russian production of
weapons-grade plutonium will be transferred from the Department of
Defense to the Department of Energy. The Department of Energy Nuclear
Cities Initiative (NCI) will be consolidated with the Initiatives for
Proliferation Prevention (IPP) and restructured to focus more
effectively on projects to help Russia reduce its nuclear warhead
complex.

The Department of Energy's Second
Line of Defense Program has been merged with the MPC&A program, to help
accelerate cooperation with Russia to install nuclear detection
equipment at border posts. On December 11, 2001, at the Citadel, the
President said:

"Together, we must keep the world's most dangerous technologies out
of the hands of the world's most dangerous people. A crucial
partner in this effort is Russia -- a nation we are helping to
dismantle strategic weapons, reduce nuclear material, and increase
security at nuclear sites. Our two countries will expand
efforts to provide peaceful employment for scientists who formerly
worked in Soviet weapons facilities. The United States will
also work with Russia to build a facility to destroy tons of nerve
agent. I'll request an over-all increase in funding to support this
vital mission."

The decisions from the Administration review will be implemented
vigorously, in accordance with the President's clear direction.